What you do in the first week after your offer is accepted can save you thousands and a lot of stress. In South Carolina, that window is called the due diligence period, and it is your chance to inspect, ask questions, and decide if the home truly fits your goals. If you are shopping in Charleston, the details matter even more because of coastal factors, historic rules, and competitive neighborhoods. This guide breaks down how due diligence works here, what to check, typical timelines and fees, and how to avoid missteps. Let’s dive in.
What due diligence means in South Carolina
In South Carolina, the standard residential contract gives you a negotiated due diligence period. During this time, you can inspect the home, review documents, verify financing and insurance, and cancel for any reason. It is a contractual right, not a state statute, and it is set when you write your offer.
The contract also includes a buyer-paid due diligence fee and a due diligence date. If you want to keep your protections and your earnest money, you must deliver any termination notice in writing by that date and by the method the contract requires.
For exact contract language and form options, review guidance from the South Carolina Association of Realtors.
Due diligence fee vs. earnest money
- Due diligence fee: Paid to the seller per contract terms. If you terminate during due diligence, the fee is normally forfeited to the seller. If you proceed to closing, it is generally not refundable.
- Earnest money: Held in escrow by a closing or escrow agent. If you properly terminate within the due diligence period, earnest money is typically returned to you. If you default after allowed deadlines, it can be at risk.
Deadlines and written notice
Your contract sets a clear due diligence date. If you decide to terminate, you must send written notice before that deadline and exactly as the contract specifies. Missing the deadline or failing to deliver notice correctly can cost you your earnest money protections.
How long due diligence lasts in Charleston
The timeline depends on the neighborhood and competition. In calmer market conditions, buyers often negotiate 10 to 14 days. In high-demand areas like parts of the Historic District, James Island, Mount Pleasant, and West Ashley hotspots, sellers often push for 5 to 7 days or ask for a higher fee in exchange for a longer period.
Some buyers shorten or even waive due diligence to compete. That raises risk because you have less time to uncover issues or to adjust if insurance or appraisal concerns arise.
Choosing the right length and fee
Consider these factors when you write your offer:
- Competition level in the specific neighborhood and price point.
- Complexity of the property, including age, systems, flood zone, and any historic restrictions.
- Your risk tolerance and readiness to schedule inspections immediately.
- The size of your due diligence fee. Higher fees can make a longer period more competitive.
Local practice varies. Modest fees are common on lower-priced homes and in slower segments. On move-in-ready homes in high-demand areas, fees can reach several thousand dollars. In some multiple-offer situations on higher-priced homes, fees can reach five figures.
What to check in Charleston during due diligence
Charleston’s coastal location and historic fabric add a few extra layers to a standard inspection plan. Use this time to verify condition and total cost of ownership.
- General home inspection: Structure, roof, plumbing, electrical, and mechanical systems.
- Wood-destroying insect inspection: Termites and other pests are common and often lender-required.
- Sewer or septic evaluation: Sewer scope for older lines or septic inspection in homes not on city sewer.
- Flood risk and insurance quotes: Confirm FEMA flood zone, request any elevation certificate, and get estimates for flood coverage. The FEMA Flood Map Service Center and the National Flood Insurance Program are good starting points.
- Specialty inspections: HVAC, roof, mold, pool, and structural engineer evaluations if age or symptoms suggest deeper review.
- Historic considerations: If the home sits in a locally regulated historic district, review preservation rules and approval processes that apply to exterior changes.
- Title and HOA review: Read the title commitment and HOA or POA documents for assessments, rental rules, or use restrictions.
You can also verify tax and recording information through the Charleston County Register of Deeds.
Timeline examples that work
The right schedule keeps you informed and protected without rushing key decisions. Here are two patterns common in Charleston.
Conservative 10 to 14 day plan
- Day 1: General and WDI inspections completed or scheduled. Order any specialty inspections.
- Day 3: Review reports with your agent. Request contractor estimates for major items.
- Day 6: Submit a clear repair or credit request to the seller.
- Day 8: Seller responds. You negotiate terms.
- Day 10: Execute an addendum detailing repairs or credits and proceed. Keep appraisal and loan milestones aligned.
Competitive 5 to 7 day plan
- Day 1: Back-to-back inspections. Start insurance quotes immediately.
- Day 2 or 3: Prioritize safety and major systems. Submit a focused repair or credit list.
- Day 4: Seller responds. You agree to limited repairs or a credit.
- Day 5 to 7: Sign the repair addendum or, if needed, issue a written termination before the deadline.
How repair negotiations usually unfold
Sellers are not required to fix everything. The due diligence period is your time to request repairs or credits, and for both sides to negotiate.
- Order inspections right after ratification. Reports typically arrive within 24 to 72 hours.
- Review results with your agent. Prioritize safety, structural, mechanical, and lender-required items.
- Draft a written request that is specific and grouped by priority. Add estimates when available.
- The seller responds by accepting, rejecting, or countering with alternate repairs or a credit.
- If you agree, sign an addendum that spells out work scope, contractor standards, completion timing, and any right to re-inspect. If no agreement is reached, you can terminate by the due diligence date.
Lender and insurer required items
Some repairs must be completed before closing to satisfy your lender or to bind insurance. Examples include missing handrails or a damaged roof. Identify these early so there is time to complete work or adjust credits.
Common pitfalls to avoid
- Waiving or shortening due diligence without a plan. This can hide costly issues.
- Confusing the due diligence fee with earnest money. The fee typically stays with the seller, while earnest money is usually refundable if you terminate properly within the period.
- Missing the termination deadline or sending notice the wrong way. That can put your earnest money at risk.
- Skipping flood insurance quotes and elevation documentation. Coastal premiums can affect your monthly budget.
- Overlooking property-specific inspections such as septic, structural, or sewer scope when signs point to risk.
- Expecting sellers to fix cosmetic items. Most sellers focus on safety, structure, or lender-required repairs.
- Poor coordination with appraisal and loan timelines, which can add stress or delay.
A practical checklist for buyers
- Day 0: Pay the due diligence fee per the contract. Confirm earnest money deposit timing. Schedule general and WDI inspections.
- Days 1 to 4: Complete inspections. Review seller disclosures. Request HOA documents, title commitment, and any utility or sewer records. Start flood insurance quotes and confirm any elevation certificate.
- Days 3 to 7: Review reports, prioritize repairs, and get estimates. Keep your lender updated and confirm appraisal scheduling.
- By the due diligence date: Send written termination if needed or sign a repair or credit addendum and proceed. Ensure your loan commitment date is on track.
- After due diligence: Verify repair completion, clear title items, and finalize insurance and closing details.
How a Charleston agent adds value
A local agent does more than unlock doors. The right guide helps you set a competitive due diligence length and fee, books reputable inspectors quickly, and interprets what matters versus what is cosmetic. Your agent also prepares clear repair requests, negotiates responses, tracks every deadline, and coordinates with the lender and closing team so nothing falls through the cracks.
At Weichert, Realtors® - Lifestyle, you get boutique, relationship-first service backed by national systems. That means fast scheduling, clear communication, and neighborhood-specific insight across Mount Pleasant, James Island, West Ashley, Daniel Island, and the historic peninsula.
Ready to put a smart due diligence plan to work on your next Charleston home? Connect with Weichert, Realtors® - Lifestyle to get local, step-by-step guidance from offer to closing.
FAQs
What is the due diligence period in South Carolina?
- It is a negotiated window in the purchase contract that lets you inspect, investigate, and cancel for any reason by the due diligence date, following the contract’s notice rules.
How is the due diligence fee different from earnest money?
- The due diligence fee is paid to the seller and typically not refundable, while earnest money is held in escrow and usually refunded if you terminate properly within the due diligence period.
How long is a typical due diligence period in Charleston?
- Local practice ranges from about 5 to 14 days, with shorter periods common in competitive neighborhoods and longer periods more feasible in calmer segments.
Can I back out for any reason during due diligence?
- Yes, you can terminate for any reason or no reason, but you must deliver written notice by the due diligence date and as the contract requires to protect your earnest money.
What inspections are most important in Charleston?
- A general home inspection and a wood-destroying insect inspection are common, along with flood risk review, and specialized inspections such as roof, HVAC, sewer or septic, structural, or mold when indicated.
How do flood zones and insurance affect Charleston purchases?
- Flood zones and elevation can drive insurance costs and availability, so you should check the FEMA Flood Map Service Center and get quotes early through the National Flood Insurance Program.
What happens if the appraisal is low during my due diligence period?
- Low appraisals often lead to renewed negotiation on price or cash to close, and your contract’s financing or appraisal terms guide your options and deadlines.
Where can I verify property records in Charleston County?
- You can search recorded documents and property information through the Charleston County Register of Deeds.
